India Overview. Robert E. Sulentic Group President EMEA, Asia Pacific & Development Services

Transcription

1 India Overview Robert E. Sulentic Group President EMEA, Asia Pacific & Development Services

2 India the Growth Story One of the largest economies in the world India Service sector accounts for almost 60% of the GDP Population (2007 estimate): 1.1 billion Approx. 300 million Middle Class fueling future growth Consumption expenditures fueling economic growth 78% of GDP GDP (Total): $4.0 trillion; Per Capita: $3,737 GDP growing at 7%+ annually CB Richard Ellis Page 2

3 Strong Fundamentals P.R. China 2007 GDP growth (%)^ GDP growth (%)* 9.9 One of the India US Japan fastest-growing economies in the world World Received approximately $100 billion Foreign Direct Investment (FDI) since $47 billion received in last 2 years Huge population of technically skilled English-speakers one of the youngest in the world (median age approximately 25 years) Majority of the Fortune 500 companies already operate in India Emerging as a hub of manufacturing excellence - IT, Pharmaceuticals, Bio-Technology, Nano-Technology, Agri-Business Source: National statistics departments, CBRE Research, EIU December 2007, AT Kearney ^ EIU estimates, * EIU forecasts, IMF CB Richard Ellis Page 3

4 CBRE India

5 CBRE India Market Presence Established in 1994 First real estate services firm to set up operations in India Presence Over 50 offices Full service offices in 7 cities 1,300+ employees CB Richard Ellis Page 5

6 CBRE India: Extensive Services Portfolio CBRE Consulting Valuation Advisory Transaction Management/ Corporate Services Integrated Service Delivery Platform Facilities/Property Management Project/Construction Management Investment/Capital Markets CB Richard Ellis Page 6

7 India Capabilities Consulting & Valuation Advisory 85 professionals More than 850 assignments across 85 cities represented Federal and 14 state governments Approximately 55% of the business originates from repeat clients Emerging focus Hospitality sector Retail advisory Infrastructure segments, e.g. logistics, etc. CB Richard Ellis Page 7

8 India Capabilities Transaction Management/Corporate Services 80 transaction professionals with strong relationships across India and globally More than 1,500 transaction assignments carried out across 33 cities Services more than 240 corporate clients exclusive mandate or preferred relationship with more than 40 companies Emerging focus/new services Landlord representation Retail services Industrial/Logistics CB Richard Ellis Page 8

9 India Capabilities Project/Construction Management More than 285 professionals Assignments carried out for approximately 35 million square feet Executed projects in more than 30 locations CISCO Systems Bangalore 550,000 SF 70% of clients are repeat business Emerging focus Industrial/Logistics Townships Healthcare Development consultancy ICICI BANK Hyderabad 4,000,000 SF CB Richard Ellis Page 9

10 India Capabilities Property/Facilities Management 840 professionals Property/Facilities Management for more than 50 million square feet 150+ clients spread over 470 facilities ISO 9001: 2000 certified systems and process CB Richard Ellis Page 10

11 Indian Real Estate Markets & Our Role

12 Real Estate: Evolution and Existing Size Parameters Office Supply (Investment Grade) 1994 Approximately 2.5 million sq. ft Approximately 175 million sq. ft. (across Tier I cities only) Infrastructure Construction Quality Big bottleneck area Low Bottlenecks continue but major focus on upgrades Moving toward global standards Underlying Demand Legal/Policy Framework Financial Institution Participation Low Bureaucratic and non-transparent Minimal High Improving Greater transparency Growing rapidly CB Richard Ellis Page 12

13 Dramatically Growing Demand For Professional Services Current Dynamics Liberalization of real estate FDI norms scramble for projects Massive infrastructure development across the board Integration with financial markets private placement/ipos/m&a Industry getting organized and transparent On the Horizon Real Estate Mutual Funds REITS Further liberalization of FDI norms CB Richard Ellis Page 13

14 Opportunities Office Space Commercial activity dominated by IT/back office Additional demand for 100 million square feet expected over the next three years Movement toward global quality standards Residential/Multi-Family Sector India to add 150 to 200 million people by 2030, creating huge demand for urban housing Integrated projects with focus on lifestyle orientation CB Richard Ellis Page 14

15 Opportunities Retail Sector Huge potential: low per capita organized retail space (less than 15% of U.S.) Movement toward liberalizing FDI requirements Rising consumer spending fuels demand for more retail space Infrastructure Projects Revamping/expansion of road networks and development of expressways Focus on special economic zones Greenfield airports and mass/rapid transport systems Projects being implemented in public-private-partnership modes CB Richard Ellis Page 15

16 CBRE India Platform Benefits to CBRE Global Clients Geographical coverage with CBRE service, quality assurance and trust Unmatched depth of experience Readily available market intelligence in a not-yetfully-organized market 14 years experience, which pre-dates organized development in the country Access to strongest professional real estate team in India CB Richard Ellis Page 16